When Cash out do i have to pay tax?

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Posted: 15-Oct-2009 10:48 by MrBowmore

Well, obviously this depends on your country's tax laws.

In Norway for example its illegal to play poker for money (basically). STILL - if you cash out you need to pay about 28% of your winnings over 10.000 NOK (1.500 dollar). But if you win the national lottery - then its tax free - go figure!

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Posted: 15-Oct-2009 12:27 by jimmyfizzels

heres an interesting read for uk players
http://www.taxationweb.co.uk/forum/is-gambling-income-taxable-t15675.html


In the UK, income tax is not paid on RECREATIONAL gambling profits (whether it be horse race betting, poker playing...or anything of that nature) This is because, as you have already stated in this forum, gamblers could claim tax back on losses.

However, PROFESSIONAL gambling is completely taxable and all profits must be declared to the IR, just as a business must. Currently, there is no threshold to determine what constitutes a professional gambler. These matters are looked at on a case by case basis. There are two main factors which are likely to determine whether you are a professional or merely a recreational gambler:

1. Do you make an organised attempt to make money out of the gambling public...i.e. do you undertake some sort of strategy, such that you expect to make a profit over the long term?

2. Are gambling profits your primary source of income? i.e. do your gambling profits outweigh all of your other sources of income?

If your answer is YES to BOTH of these, then you should declare your profits to the IR.


jimmyfizzels, 15/10/2009